Assembling A Year Set of Liberty Head Eagles, Part Two: 1867-1907

In the first part of this article, I discussed the ins and outs of assembling a year set of Liberty Head eagles from 1838 through 1866. In case you've already forgotten the premise, it's that a collector can purchase one example of each year that this denomination/type was produced in order to save money and still be an active participant in this very interesting (and very long-lived) series. Without further ado, let's go to the videotape, Bob...

1867: Only two mints struck eagles this year. Philadelphia is rarer and less expensive than San Francisco. I'd go with a nice 1867-P eagle and might even stretch a bit as it is undervalued.

1868: Neither the Philadelphia or San Francisco eagle of this year is hugely rare or even all that interesting. Either one, in EF45 to AU53, seems like a good purchase. Look for a coin with nice original surfaces.

1869: The 1869-P is a rare, low mintage date that is still not all that expensive. I'd go with a nice example with original surfaces and would even stretch for a high end (AU50 or better) example.

1870: This is a numismatically significant year as the Carson City mint began operations. The 1870-CC would be a great choice for this set but it is rare and expensive. The P and S mint eagles are both scarce and undervalued. It is hard to choose from one or the other!

1871: The 1871-CC is among the more affordable eagles from this mint produced before 1880 so it would be a good choice for this set. The 1871-P has a mintage of only 1,820 and it is very undervalued in all grades.

1872: The only affordable eagle dated 1872 is the San Francisco coin which is fairly common up to AU55. The 1872-P is very rare as is the 1872-CC. I'd probably settle for a nice AU 1872-S.

1873: For gold collectors, this is a banner year with many interesting issues. I love the 1873-P with its mintage of 800 and the 1873-CC is one of the three rarest eagles from this mint. Even the 1873-S is scarce but it is the most available of the three. Still, I'd splurge and go for a nice 1873-P.

1874: Mintages increased this year and the 1874-CC is the most available CC eagle struck before 1880. I'd look for a nice example in EF45 to AU55.

1875: The stopper this year is the 1875-P which has a mintage of just 100 business strikes and fewer than ten survivors. San Francisco didn't make eagles this year so your only realistic option is the 1875-CC which is very scarce but not impossible like the 1875-P.

1876: Another very interesting year with three possible dates available and all scarce. I personally like the 1876 as just 687 business strikes were made. The 1876-S is a sleeper which is far rarer than its mintage of 5,000 would suggest. A nice example of any of the three issues would be a great addition to this year set.

1877: The Philadelphia eagle is very rare (797 struck) while the CC is very scarce. The 1877-S is fairly common but a bit boring. I'd personally look for a nice AU 1877.

1878: Mintages increase beginning with this year as does availability. While the 1878-CC is very rare, the 1878-S is only semi-scarce in AU and the 1878-P is the first date in this set that is actually available in Mint State for less than $10,000+.

1879: For the first time, four mints struck Liberty Head eagles as the New Orleans mint reopened. I personally love the 1879-O, given its very low mintage (1,500 coins) and its numismatic significance. The 1879-CC is very rare also but much more expensive than the 1879-O.

1880: Another four mint year. Nothing struck this year is rare although the CC and O issues are extremely hard to llocate in AU58 and above. I'd select a nice 1880-O or 1880-CC in AU55 to AU58.

1881: Yet another four mint year. The scarcest issue is the 1881-O while the 1881-CC is actually somewhat available in higher grades. I think I'd pursue a nice 1881-CC.

1882: The second to last of the four mint years and another with no real rarities. I would look for a nice 1882-CC or 1882-CC in the middle to upper AU grades.

1883: The last four mint year of the eagle denomination for many years (until 1906) and one with a notable rarity: the 1883-O which had a mintage of only 800 coins. This issue has become quite expensive so it might make sense to look for a nice AU example of the 1883-CC.

1884: The New Orleans mint stopped making gold coins until 1888 so only three mints made eagles this year. The scarcest is the 1884-CC. The 1884-P is a sleeper and I would look for a nice, original MS62.

1885: Only two mints made eagles in 1885. Both are common and not especially interesting.

1886: Same comments as with the 1885. Look for a nice MS62 to MS63 coin.

1887: Ditto. The 1887-P is slightly scarcer and undervalued in MS62 to MS64.

1888: The New Orleans mint restarted production of eagles in 1888 and I'd suggest an 1888-O in MS62. The 1888-P is scarce and undervalued in Uncirculated.

1889: Of the two issues made this year, the 1889-P is the more interesting with a low mintage of only 4,485. It is very rare above MS62.

1890: Carson City resumed production of eagles in 1890 but San Francisco ceased striking this denomination until 1892. I personally like the 1890-CC in the lower Uncirculated grades as a choice for this set.

1891: Only the Philadelphia and Carson City mint made eagles in 1891. The 1891-CC is common in grades up to MS63 and a nice, original example is sure to add some "oomph" to this year set.

1892: After a three year hiatus the New Orleans mint struck eagles again. The 1892-O is available in MS62 for less than $2,500.

1893: As this is the last year that Carson City struck coins, I'd go with an 1890-CC as a ceremonial sign-off to this mint's coins. It is very rare in Uncirculated but available in AU grades.

1894: For the nest two years, there were three mints making eagles. The 1894-S has a mintage of just 25,000 and it is very underrated.

1895: The same is true with the 1895-S. A nice MS61 to MS62 is a hard coin to find and a good value at current levels.

1896: Now we are back to two issues: Philadelphia and San Francisco. The 1896-S is moderately scarce and probably more interesting than the dirt common 1896.

1897: And now we're back to three as the New Orleans mint resumed eagle production. I would go with an MS62 1897-O.

1898: A ho-hum year with two common issues, the 1898-P and the 1898-S.

1899: This year sees three issues with the 1899-O being the scarcest and most interesting. This is the hardest of the late date New Orleans eagles to find. Look for a nice MS62 to MS63 example.

1900: New century, two issues, both kind of nondescript. I'd go with the 1900-S.

1901: The 1901-S is the single most available Liberty Head eagle in higher grades. Buy a beautiful MS65 coin so that your set has at least one Gem coin.

1902: Two choices, both boring.

1903: New Orleans resumed operations this year and a nice MS62 to MS63 would make a good addition to the set.

1904: Two choices this year with the New Orleans being the more interesting. I would opt with a nice MS63.

1905: New Orleans didn't make eagles this year but San Francisco did. The 1905-S is actually a bit of a sleeper.

1906: We are back to a final four issue year as Denver made eagles for the first time in 1906. While the 1906-D is a common coin, I would include a nice Uncirculated piece as it is numismatically significant.

1907: The last year of issue. Three coins are available with the 1907-S being the scarcest. Your choice here, Mr. Eagle.

Do you have questions about assembling a set of Liberty Head eagles? If so please contact Doug Winter by email at dwn@ont.com.

Assembling A Year Set of Liberty Head Eagles: Part One, 1838-1866

For most collectors, assembling a comlete set of Liberty Head eagles is a daunting task, to say the least. There are 184 different issues (including major varieties) struck from 1838 to 1907. While none of these individual coins is impossible to locate, many are rare to very rare and nearly every issue struck prior to 1878 is rare in higher grades and quite expensive. So how can a collector of more average means approach what, in my opinion, is one of the most interesting and overlooked denominations in all of American numismatics. The answer is to assemble a year set of Liberty Head eagles. This set would include one example of each year that this denomination was produced. Instead of being close to two hundred coins in order to finish the set, it is now only 69 coins. Even better, the savings is immense as it eliminates some of the very costly issues like the 1863, 1864-S, 1870-CC and 1875 and lets the collector replace these with interesting but much less costly alternatives.

Let's take a look at each year from 1838 until 1866 in this set (in Part Two, we'll look at the 1867-1907 issues). I'll list what I think is the best issue for each year in this set along with suggested grades.

1838: Only one issue, from Philadelphia, is available. This issue is very popular and significant as the first eagle produced with the new Liberty Head design and it is the first coin of this denomination produced since 1804. I'd splurge on this and buy as nice a coin as you can afford; certainly at least an EF40.

1839: This is another one-mint year but with two types available: Head of 1838 and Head of 1840. The former is far more available and can be obtained in nice EF without great difficulty. This is another issue I'd splurge on as it is a limited type with a novel design.

1840: The last of the three Philadelphia-only issues at the beginning of the set and a significant first-year coin. I've always liked the 1840 eagle and find it to be underrated. I'd buy a nice AU53 to AU58 for this set.

1841: This is the first year in which more than one mint made eagles as the New Orleans facility began production in 1841. The 1841-O is a really neat issue but it is rare and expensive, so I'd probably go with an 1841 Philadelphia. I'd choose a nice original AU55 to AU58 coin.

1842: Beginning this year, the collector can select from Philadelphia and New Orleans issues. In a year like 1842, both are reasonably common although the 1842-O becomes very rare in higher grades. I'd go with the 1842-O in the AU50 to AU55 range.

1843: Surprisingly, the Philadelphia eagle dated 1843 is scarcer than its high mintage New Orleans counterpart. I'd go with a nice Choice AU 1843.

1844: The little-known 1844 is actually a rare coin in all grades and a real stopper in AU50 and above. Thus, I'd go with the 1844-O and look for a nice mid-range AU that had good color and surfaces.

1845: Again, the Philadelphia eagle is rarer but the 1845 is not nearly as hard to locate as the 1844. I'd look for a nice 1845-P in the lower AU grades as I think this issue is very good value in this range.

1846: This is the last of the tougher date Philadelphia issues for the next decade+. I'd stick with a nice AU50 to AU55 and I'd be patient for one with good color and fewer marks than average. In my opinion, nice 1846-P eagles remain undervalued at current levels.

1847: Both the 1847-P and 1847-O are common issues. I'd go for a nice AU55 to AU58 example of the New Orleans coin.

1848: The 1848-O isn't really rare but it is a tough coin to locate above AU53 to AU55, especially with original color and surfaces. I'd look for a nice example, keeping in mind that all pieces known have weak overall strikes.

1849: I'm a big fan of the 1849-O eagle as a date and believe that nice examples in all grades above EF40 are much harder to locate than generally believed. The Philadelphia issue is affordable in grades up to and including MS61/62.

1850: There are two varieties of 1850-P eagle: the Small Date and the Large date. The former is much scarcer and it is very overlooked. I'd look for a nice mid-range AU example.

1851: Both the Philadelphia and New Orleans eagles from 1851 are fairly non-descript issues. I'd stick with an 1851-P and look for a pleasing AU58.

1852: The 1852-P is very common while the 1852-O is a scarce to rare issue. I like the latter quite a bit and would probably rather have a pleasing EF45 for the same price that I'd be spending on an MS60 to MS61 1852-P.

1853: The most interesting issue struck in 1853 is the 1853/2 overdate from Philadelphia. This is the only confirmed overdate in the entire Liberty Head eagle series and it is an underappreciated coin in all grades. I'd look for a nice AU50 to AU55.

1854: With the opening of the San Francisco mint, the number of facilities coining eagles grows to three in 1854. The 1854-S isn't a really scarce coin but it is a neat date and it is certainly the issue I'd choose to represent this year for my date set. Look for an AU50 to AU55 example with minimal bagmarks.

1855: Of the three eagles struck in 1855, the Philadelphia coin is common, the New Orleans coin is scarce and the San Francisco coin is rare. I would personally choose the 1855-O and I'd look for a coin in the EF45 to AU53 range.

1856: For this year, Philadelphia and San Francisco are common while the 1856-O is scarce to very scarce. I like the 1856-O eagle and would vote to include a choice EF45 to AU53 example in my year set.

1857: The mintage figures for all three issues are lower in 1857 than they were in the previous few years. The 1857-P is a sleeper that is still a good value in circulated grades while the 1857-O is undervalued. But I'd probably go with the 1857-S because of its historic association with the popular S.S. Central America double eagles dated 1857-S.

1858: The 1858-P is a famous rarity with just 2,521 struck. If you can find (and afford) a pleasing EF example, I'd strongly recommend including it in this set. The 1858-S is a rare coin as well. For practical purposes, you might want to pursue the more affordable 1858-O in AU50 to AU55.

1859: As this decade draws to a close, mintages continue to shrink. The 1859-P is fairly common while the 1859-O is very rare and the 1859-S is rare. To keep your powder dry for the rare coins that await in the 1860's, I'd suggest looking for a choice AU 1859-P.

1860: This is the final issue from New Orleans until 1879 so it seems natural to choose the 1860-O. The Philadelphia issue is common while the San Francisco issue is very rare. An 1860-O in AU50 to AU55 is affordable yet historic.

1861: Beginning with this year, we are back to two mints striking eagles: Philadelphia and San Francisco. The former is common while the latter is scarce to very scarce. I'd choose a nice AU58 to MS61 1861-P eagle as it is by far the most affordable Civil War issue.

1862: Until recently the 1862-P was an undiscovered sleeper but prices have risen as collectors learn of its true scarcity. The 1862-S is very rare and seldom seen above EF45. I'd stick with an Extremely Fine example of the 1862-P.

1863: This year is among the most challenging in this set as both issues are very rare. The Philadelphia eagle is a major rarity with just 1,248 examples produced. The San Francisco eagle has a mintage of 10,000 and it is more available. I'd stick with a nice EF example of the 1863-S but if a sensible 1863-P became available I'd consider it strongly as it is still very undervalued.

1864: Think the 1863 eagles were tough? Try the 1864. The 1864-P is rare with 3,580 struck while the 1864-S is one of the great rarities in the series with only 2,500 struck. You really can't go wrong with either coin for your set but as you as more likely to find an 1864-P than an 1864-S, I'd have to suggest going for the former. I'd splurge on this date and buy the nicest quality you can afford.

1865: Things don't get much easier in 1865. The Philadelphia issue is very rare while there are two varieties from San Francisco: the Normal Date and the Inverted Date. I'd choose the latter due to its "coolness factor" and the difficulty of locating the other issues. An EF40 to AU50 is going to be about the best you'll see for this year.

1866: This is a numismatically significant issue as it represents a transitional year. The San Francisco mint struck eagles with and without the motto IN GOD WE TRUST on the reverse while Philadelphia only made with motto coins. I'd opt for the rare 1866-S No Motto which had a mintage of only 8,500. Anything grading higher than EF45 will be very expensive.

So there you have it. A total of 28 issues make up the No Motto part of the Liberty Head eagle set. There are three mints to choose from for some years and only a few dates (the 1863, 1864 and 1865 in particular) that will be hard to find and high priced. Assuming you follow the suggestions for dates and grades that I made above, we are probably talking about an overall average per coin cost of around $4,000-5,000. This translates to a low cost of around $112,000 and a high cost of around $140,000. If you were to pick the most common issue for each date and stick with coins in the EF40 to AU50 range, this would probably lower the cost to less than $100,000.

In Part Two of this article, which will be published in February 2012, we will look at the 1867-1907 dates. We'll see the introduction of the Carson City mint, the resumption of the New Orleans mint, the short duration of the Denver mint...and we'll have a good ol' numismatic time.

How to Get Started Collecting Early Gold

To my way of thinking, early gold coins (i.e., those struck prior to 1834) and among the most collectible and interesting areas in all of American numismatics. No, these coins aren't cheap and they are, in reality, somewhat overvalued when you compare them to many mid-19th century Liberty Head issues. But there is a pride-of-ownership factor associated with owning a 200 year old gold coin that you get from nothing else. 1. An Overview

When we refer to "early gold," this typically includes quarter eagles, half eagles and eagles produced at the Philadelphia mint from 1795 through 1834. I'd also like to include the Classic Head coinage of 1834-1838 as these pieces are more affordable and this article will then be of greater relevance as it will cover a more broad scope of collecting budgets.

The various types of early gold are as follows:

Quarter Eagle: No Stars on Obverse, 1796 only Quarter Eagle: Capped Bust Right, 1796-1807 Quarter Eagle: Capped Bust Left, 1808 only Quarter Eagle: Capped Head Left Large Size: 1821-1827 Quarter Eagle: Capped Head Left Reduced Size: 1829-1834 Quarter Eagle: Classic Head, 1834-1838

Half Eagle: Capped Bust Right, Small Eagle, 1795-1798 Half Eagle: Capped Bust Right, Heraldic Eagle, 1795-1807 Half Eagle: Capped Bust Left, 1807-1812 Half Eagle: Capped Head Left Large Size, 1813-1829 Half Eagle: Capped Head Left Reduced Size, 1829-1834 Half Eagle: Classic Head, 1834-1838

Eagle: Capped Bust Right, Small Eagle, 1795-1797 Eagle: Capped Bust Right, Heraldic Eagle, 1797-1804

The total number of types that most collectors pursue are fourteen. This includes six each of the quarter eagle and half eagle, and two eagles. The rarest and most expensive of the individual types are the 1796 No Stars and 1808 quarter eagles, and the 1829-1834 Capped Head Left, Reduced Size half eagle. For each of these three types, "entry level" coins will approach six figures and choice, significant pieces can run into the mid-six figures.

2. What to Buy to Get Started

Before you begin an early gold collection, I think its a good idea to spend $500-1,000 putting together a library of reference works.

The best book for new collectors is the Bass/Dannreuther reference that is published by Whitman. While it is oriented more towards die varieties than general collecting, it is still an extremely useful book.

I have written some good general articles on collecting early gold and these can be found in both the "articles" and "market reports" section of my website.

There are not many other books that deal specifically with early gold. The Akers books on United States gold coins are out-of-date but still of use. And the Harry Bass Research Foundation website (hbrf.org) has wonderful images of extremely choice gold coins in all three denominations, including extremely rare Proofs and specimen strikes.

One of the best sources of information for collectors of early gold are auction catalogs. Some of the sales held during the last few decades that had very strong holdings of early gold include Eliasberg (1982), Norweb, Bass, Keston, the "Apostrophe" sales, Archdiocese of Buffalo, Ed Price and many of the Heritage FUN and ANA Platinum night sessions. Do a search on the web for coin book dealers (there are a number of good ones) and ask for their help in putting together a nice group of 15-20 catalogs that are essential additions to any early gold library.

3. Deciding What to Collect

After you've decided to collect early gold, your next question is what direction is your collection going to take.

Basically, there are two paths that a new collector can take: collecting by type or specializing in a specific series and collecting by date. The path you take will depend on your budget.

Collecting early gold coins by date is ambitious (to say the least) due to the number of very rare coins in each of the three denomination. A date collection can be modified and made less expensive by deciding to collect only by date and not by variety. As an example, a collector working on early quarter eagles might opt to purchase only an 1804 with 14 stars on the reverse due to the fact that the 13 star variety is very rare and very expensive.

The decision to collect early gold is, of course, predicated on a collector's budget. If the collector has a reasonably modest budget, my suggestion would be to focus on the half eagles struck between 1800 and 1812 in the Extremely Fine and About Uncirculated grade range. This is a great date run as there are no rare issues (except for varieties) and every coin will be available in the $7,500-12,500 range depending on grade.

If a collector has a healthy budget available, the possibilities are almost limitless. A high quality type set, featuring one example each of the fourteen issues listed above, would be challenging and numismatically significant.

Two sets that I have been able to work on for clients are date runs of quarter eagles from 1796 to 1834 and Capped Head Left half eagles from 1813 to 1829. These are both truly challenging. There is a tremendous amount of subtle strategizing inherent in both sets as they include many issues that might come up for sale once every three to five years. It can be hard to figure out what to pay for a very rare date whose last auction record was as much as a decade ago!

4. Where to Buy

As a collector you have two options on where to purchase your early gold coins: from a specialist dealer or at auction. As a dealer who specializes in early gold, I obviously would suggest that you buy from me, but the answer is not so cut and dry.

Early gold can be quite complex to collect. Many early gold coins have been cleaned or "doctored" and it takes an expert to determine which are nice for the grade and which are average. This is an area that a collector would be smart to deal with a specialist and he will need to do some research into who he should buy from, as there are only a handful of United States coin dealers who really know the intricacies of the early gold market.

Certain very rare early gold coins are almost never offered for sale except at auction, so the auction market is always going to be a factor for the collector. I suggest hiring a dealer and paying him a standard 5% fee for viewing and executing bids.

Be forewarned that you are never going to buy a good coin "cheaply" at auction. Auctions are best used to pursue very rare coins or very high grade coins. They may not be the best source for more run-of-the-mill pieces (and I am not saying this in a derogatory sense) which a specialist dealer will have access to at more reasonable prices.

Some auctions are great sources for early gold coins because they offer pieces with impressive pedigrees. I am an advocate of buying early gold with strong provenance when possible and, for better or worse, many such coins wind-up in auctions. I know of at least a few collectors who are as interested in early gold coins with pedigrees and they are in the coins themselves. They would consider buying a duplicate or even a triplicate of an issue they already own because it has a great pedigree.

5. CAC or non-CAC?

There are areas of the rare coin market that CAC has made strong inroads on and others where it has had little or no impact. In my opinion, early gold is an area where CAC has made a very strong impact. CAC typically rewards originality and as the vast majority of early gold coins aren't original, CAC examples are often selling for premiums that range from 5% to 20%.

I think the early gold coins that are most impacted by CAC approval are common date pieces in higher grades. So many of the Capped Bust Right and Capped Bust Left half eagles that I see in MS63 to MS65 holders have been played-around with that I think a CAC stickered coin is an important purchase for the inexperienced collector.

I think CAC stickers are not as important on very rare early gold coins and more common issues in lower grades.

If you are looking at an early gold coin with a total population of a few dozen coins, you are not able to be as selective as with an issue which has hundreds of coins surviving. While I would never suggest buying a very rare early gold coin with problems (such as damage, signs of harsh cleaning, repairs, etc) I would (and will continue to) buy a coin like an 1804 14 star reverse quarter eagle or a half eagle from the mid-1820's that was decent-looking but not nice enough to be approved by CAC.

I also note less of a premium being given to less expensive early gold coins with CAC approval but I wouldn't be surprised if this changes as buyers of these coins are becoming more sophisticated and want nicer quality pieces.

6. Value Plays/Best Value Grades

Every collector wants to buy coins that are good value. Collectors of early gold are no different. There are some issues that I think are very good values. (important note: I think that any properly graded, choice early gold coin with natural surfaces is a good value but the following list are coins that are the best values).

Virtually all pre-1834 quarter eagles are rare and until a few years ago, they were priced at levels similar to the far more available half eagles of this era. This isn't the case anymore and a nice example of a reasonably available date of the Capped Right design (such as the 1802, 1805 or 1807) is now a $15,000-20,000 coin.

Early quarter eagles that I find to be undervalued include the 1798 (the only relatively affordable 18th century issue) and the 1806/4.

I like the Capped Head Left type of 1821-1827 and find this to be the most undervalued early quarter eagle type. Survival rates tend to be low and the five issues of this design are often overlooked. My two favorite dates of this type are the 1821 and the 1826/5.

There are so many early half eagles that I feel are undervalued that instead of listing them by date and discussing them, I'm going to focus on "best value grades" instead.

For circulated coins, I like AU55 and AU58 grades. An early half eagle graded AU55 to AU58 is going to show minimal wear and have a decent amount of remaining luster. There isn't a huge price spread between an AU50 and an AU58 common date early half eagle (the spread right now is a few thousand dollars at most) and if you are collecting half eagles by type, it makes sense to me to go for an AU55 or AU58.

In the Uncircuated grades, I tend to shy away from MS60 and MS61 coins (which are often "rubby") and stick with MS62's which, for the most part, are actually "new."

For type collectors with higher budgets, a nice MS64 early half eagle typically makes more sense to me than an MS65 at multiples of the price. The last few common date early half eagles that I have sold in MS64CAC have been nicer than some of the low-end MS65 non-CAC coins that I've seen offered at auction.

Since there are not many early eagles, there are few coins that I regard as undervalued. Among the common dates, I actually prefer the 1799 to the 1801 or the 1803 given its 18th century origin.

7. Let's Not Forget Classic Heads....

I mentioned at the beginning of this article that I wasn't going to overlook the Classic Head quarter eagles and half eagles. These designs were produced from 1834 to 1838 at the Philadelphia, Charlotte and Dahlonega and New Orleans mints. The branch mint issues include the 1838-C, 1839-C, 1839-D and 1839-O quarter eagles as well as the 1838-C and 1838-D half eagles.

The great thing about Classic Head gold is its affordability. As an example, I just sold an absolutely beautiful 1834 Classic Head half eagle graded AU55 by PCGS and approved by PCGS for just a touch over $2,000. Nice examples of most of the Philadelphia quarter eagles and half eagles of this type can be obtained for $2,000-4,000. Even Uncirculated examples, at least in MS60 to MS62, are not out of the price range of most early gold collectors.

I would suggest that if you are purchasing a Classic Head gold coin for type purposes that you be extremely selective. These coins are not rare and really nice examples can be found with patience. Pay a little extra for original coins with great color and, if possible, buy a slightly better date like an 1837 quarter eagle or an 1836 half eagle for just a small premium over the common 1834.

Classic Head gold can be collected in a number of different ways. You can buy just two coins and have a complete type set, or you can buy eleven coins and have complete year sets of both denominations. The addition of the branch mint issues will add some cost to a Classic Head collection, but these issues are still affordable in the EF40 to AU50 grade range.

8. Some Final Words

Its hard to convey in 2000~ words the ins and outs of collecting early gold coins, but hopefully this article will serve as motivation to become involved in an aspect of the hobby that I find fascinating. If you have any specific questions about early gold, please feel free to contact me via email at dwn@ont.com and I will do my best to answer them.

Mintmark Varieties of Dahlonega Half Eagles

For variety collectors, the half eagles struck at the Dahlonega mint are fertile ground. There are a number of very interesting varieties, but currently just a handful of collectors appreciate them. With the upcoming release of the third edition of my Dahlonega book, I feel that this situation may change. In the first two editions of this book, the variety section(s) were not illustrated and, to be honest, had a number of errors and omissions. Thanks to the assistance of Brian Kollar, a cataloger at Heritage Auctions, this has changed. The variety information in the new Dahlonega book is truly "state-of-the art" and I think it will jump-start this area of the market.

Brian spent a lot of time and effort helping me with the varieties. One thing that I have learned from his groundbreaking work--and something I'd like to share with collectors of Dahlonega half eagles--involves the numerous mintmark sizes found on these coins. I think it will be helpful to illustrate each of the three mintmark sizes used and to discuss which years these are found on. I'm also going to discuss the relative scarcity and importance of these varieties.

There are three mintmark sizes seen on Dahlonega half eagles. These are as follows:

Small D: This mintmark is found on 1840-D, 1841-D, 1842-D Small Date, 1842-D Large Date, and 1843-D half eagles. In the new book, the reverses that employ the Small mintmark are lettered as follows: C,D, E and F. It is illustrated below:

Medium D: This mintmark is found on 1843-D, 1844-D, 1854-D, 1855-D, 1859-D, 1860-D, and 1861-D. In the new book, the reverses that employ the Medium mintmark are lettered as follows: G, CC and JJ. It is illustrated below:

Large D:. This mintmark is the most common size and it is found on the 1838-D, 1839-D, 1840-D, 1841-D, 1845-D, 1846-D (both the normal mintmark and the D/D), 1847-D, 1848-D (both the normal mintmark and the D/D), 1849-D, 1850-D, 1851-D, 1852-D, 1853-D, 1854-D, 1855-D, 1856-D, 1857-D, 1858-D, 1859-D, and 1860-D. In the new book, the reverses that use the Large mintmark are lettered as follows: A-B, H-Z, AA, BB and DD-II.

There are six different years in which Dahlonega half eagles are known with more than one mintmark size. Let's take a look at each of these years and discuss the different varieties.

1840-D: There are a total of two different varieties known for this year.

The first is the Large D (Winter Variety 3-B) which is recognized by PCGS as the Tall D. For the sake of consistency I refer to it here as a Large D, but it is sized and configured differently than what is seen in later years. My guess is that this punch was created by Gobrecht and shows his style; the later Large D punch was by Gobrecht and was executed in his distinctive style. The 1840-D Large (or Tall) D half eagle is the more common of the two varieties seen for this year.

The second is the Small D (Winter Variety 4-C) which is recognized by PCGS as the Small D. It is usually seen with a die crack from the rim through the right diagonal of the V in FIVE through the right side of the mintmark and then up onto the shield. This variety is very scarce.

1841-D: There are three die varieties for this year which use two different mintmark sizes.

Winter 5-B uses the Large (or Tall) mintmark first seen on the 1840-D. This is a rare variety and one that is likely to sell for a premium. It is believed that only 4,105 examples were produced early in the year.

Winter 5-D and Winter 6-D use the Small mintmark but it is not the same one as seen on the 1840-D half eagle. Variety 5-D is common; Variety 6-D (which shows repunching on all four digits of the date) appears to be rare.

1843-D: There are two die varieties known for this year.

The first has a Small mintmark as seen on the 1842-D Small Date. Designated as Winter Variety 10-F, it is quite rare and it should sell for a good premium over the other variety of the year.

The second, Winter 11-G, has a Medium mintmark and it is also seen on the 1844-D. Interestingly, it can be best determined by its obverse as it shows a line of three tiny die lumps between the first and second stars which is not present on Variety 10-F. This variety is quite common.

PCGS recognizes two mintmark sizes for the 1853-D half eagle, but this is not correct. All 1853-D half eagles have a Large mintmark. PCGS lists six coins in the population report as having a Medium mintmark.

The next year in which two different mintmark sizes are known for Dahlonega half eagles is 1854.

1854-D: There are a total of four die varieties known.

The two most common varieties of the year, Winter 36-AA and Winter 37-BB, have a Large mintmark.

The rarest of the four varieties is Winter 37-CC, which has a Medium mintmark. This variety should sell for a premium over the Small mintmark but it is less likely to than other years, given how common the 1854-D is as a date.

The most unusual variety of the year, Winter 37-DD, actually has "no" mintmark (!) It was, of course, struck at the Dahlonega mint but the mintmark was so faintly entered into the reverse die that it is sometimes totally impossible to see. Examples do exist, however, with traces of the top of the D.

1855-D: There are two die varieties known for this year.

The more common of the two, Winter 38-CC, has a Medium mintmark. It is appears that this is the same mintmark first used in 1854 to strike Winter 37-CC.

The rarer of the two, Winter 38-EE, has a Large mintmark. It appears to be very scarce and possibly even quite rare.

1859-D: There are two die varieties known for this year.

The first, Winter 43-CC, has a Medium mintmark and it is common. It is the same reverse that was used to strike Winter 37-CC (1854-D) and Winter 38-CC (1855-D).

The second variety, Winter 44-HH, uses a Large mintmark and it is very rare. It uses the same reverse first employed to strike Winter 42-HH (1858-D).

1860-D: There are three varieties known for this year.

The first, Winter 45-HH, has a Large mintmark. It uses the same reverse as on Winter 42-HH (1858-D) and Winter 44-D (1859-D). The second, Winter 45-II, also has a Large mintmark but it is placed closer to the branch than on Winter 45-HH. The former is very rare and the latter is rare.

The third and final variety of the year is Winter 45-JJ. It has a Medium mintmark and is also found on the 1861-D half eagle. It is common.

One can't discuss the mintmark size varieties of Dahlonega half eagles and not discuss the spectacular 1846-D over D and 1848-D over D varieties.

There are actually two different varieties of 1846-D/D half eagle, Winter 17-J and Winter 18-J. The first has a low date and it was also used on the 1846-D Normal Mintmark, Winter 17-I. On the reverse, the mintmark was first punched too high and too far to the right. The second mintmark is lower and further to the left. The second variety of 1846-D/D, Winter 18-J, has a slightly different date punch with the numerals placed a bit higher in the field. The 1846-D/D is common but it is popular due to the fact that it is clearly visible to the naked eye.

A similar but less known variety exists for the 1848-D. The 1848-D/D half eagle, Winter 22-O, shows the original mintmark punched too low and the second punched to the left and then effaced. This variety is much more subtle than the 1846-D/D and unless it is an early die state with both of the mintmark punches visible to the naked eye, it doesn't command a premium.

The mintmark varieties that I have listed here are the ones that I believe to be important and to be the most potentially collectible if and when Dahlonega half eagles become collected in this fashion. There are, of course, dozens of less obvious varieties and this includes some that are very rare.

Building a Basic Type Set of Five Dollar Gold Pieces

The half eagle is the very first gold coin to be struck at the United States mint. This denomination was struck without interruption from 1795 to 1929, and it is the only U.S. gold issue to be produced at all eight United States mints. It is very popular with collectors, but the seemingly endless duration makes it very hard to collect by date. Because of this fact, it is an ideal set to collect by type. Let's take at the eight major types that constitute a half eagle set from 1795 to 1929. The beauty of this set is that while it contains some rare coins, it can be completed by most collectors; even in relatively high grades. While probably not realistic in Gem Uncirculated (although certainly feasible, albeit at a significant price), this set is very realistic in Uncirculated. In fact, many of the coins can be purchased in MS63 and MS64 grades for less than the price of far less rare 20th century gold issues.

1. Capped Bust Small Eagle (1795-1798)

While this type is dated from 1795 through 1798, for most collectors the only two realistic dates for type purposes are the 1795 and the 1796/5. The 1797 is very rare and the 1798 is exceedingly rare with just eight known.

If I were going to be putting this set together, there is no doubt that I would select a 1795 as my Capped Bust Small Eagle type coin. Even though the 1796/5 is much scarcer and probably undervalued in relation to the 1795, the latter is a first-year-of-issue which gives it considerable numismatic significance.

A total of 8,707 1795 Small Eagle reverse half eagles were struck. There are hundreds of coins known, in grades that range from VF+ to EF all the way up to Gem. Depending on the collector's budget, I would suggest either looking for a nice AU50 to AU53 coin or a solid MS62 to MS63. A nice AU coin should be available in the $50,000-60,000 range while an MS62 to MS63 will cost $100,000-150,000.

Due to the price and significance of this coin, I regard it as one of the key members of the half eagle type set. Therefore, the collector should be patient and fussy in his quest for the "right" coin. I think it is important to find an example with choice surfaces and original color. Nice, cosmetically appealing 1795 half eagles used to be available with relative ease a decade ago, but they have become hard to find as so many have been dipped or lightened. A high-end, original coin is worth at least a 15-20% premium over a typical example.

2. Capped Bust Right, Heraldic Eagle Reverse (1795-1807)

This is one of my favorite types of half eagle. It can be neatly subdivided into two categories: those issues struck prior to 1800, and those struck afterwards.

For the pre-1800 issues, there are two dates that make sense for a type set: the 1798 and the 1799. There are a number of varieties of 1798, but the most available (and the one that is best for a type set) is the Large 8 with 13 stars on the reverse. The mintage figure for the 1798 half eagle is reported to be 24,867, and it is likely that no more than 500-750 examples survive in all grades. A nice AU example of the 1798 half eagle should be available for under $25,000-30,000. An Uncirculated coin will cost $40,000-80,000+. In my opinion, the best grades for a type set are AU55 to AU58 and MS62.

The 1799 has a reported mintage of only 7,451 and I regard it as a real "sleeper" in the early half eagle series. It isn't that much more costly than the 1798, yet it is at least two times as rare. I recently sold a lovely PCGS MS62 with CAC approval for less than $45,000, and this seems like truly good value to me.

For most collectors, the best coin to seek for their Capped Bust Right Heraldic Eagle reverse type is going to be a half eagle dated from 1800 to 1807. All of these dates are relatively common, and each has its own merits for inclusion in the set.

If you are going to stick with an AU coin, you should be able to purchase a lovely, high-end example in the $10,000-15,000 range. In Uncirculated, an MS62 will cost around $17,500-20,000+, while an MS63 is $30,000+.

A few important factors to consider when buying this type are originality, color, nice surfaces and a lack of detracting marks. This is a common enough coin that you can afford to be quite finicky when pursuing it. If you don't really like a specific coin, wait until you find the "right" one.

3. Capped Bust Left (1807-1812)

In 1807, Reich again redesigned the half eagle. The new design features a Capped Bust Left obverse and an entirely new reverse.

All six years of this design are basically similar in overall rarity. All six issues also tend to be well made and fairly easy to locate in grades up to and including MS63. This makes it among the easier types in this set to acquire.

What year is "best" for this set? I like the 1812, given its historic association with the War of 1812, but I also like the 1807 for its significance as the first-year-of-issue for the Capped Head Left type. But none of these dates is really "better" than any other.

The best buying tips that I can give for this type are similar with the other early types discussed in this article. If you are purchasing a nice About Uncirculated coins, look for a piece that has the appearance of a Mint State coin but just a slight amount of friction on the high spots. On Uncirculated coins, try and stick with those that are original and those that are minimally abraded with good color and good overall eye appeal.

A nice AU Capped Bust Left should be readily available in the $10,000-15,000 range. A nice Uncirculated coin (one that grades MS62 to MS63) will cost in the area of $20,000-35,000+ depending on the date and grade.

4. Capped Head Left (1813-1834)

The half eagles struck from 1813 through 1834 include some of the rarest and interesting issues of this entire denomination. Unlike some of the very rare half eagles from the 1860's and 1870's, these issues tend not to be rare due to low mintages but because of intensive meltings that began in 1834. The weight of the half eagle was lowered during this year, making the old issues worth more intrinsically than their face value. Most of the issues from the 1820's were almost totally wiped out in the process. The most extreme example is the 1822, of which just three survive from an original mintage of 17,796.

But not all the Capped Head Left half eagles are extreme rarities and it is from the small number of more available dates that the type collector will probably make his selection. The most common issues of this design are the 1813, 1814/3, 1818, and 1820. "Common" is a relative term here, though, as some of these dates, like the 1818 and 1820 are quite rare when compared to the last two types that we discussed in this article.

For type purposes, the 1813 is clearly the best date to choose for this set. It is easily the most available date and it tends to come better produced as well. A nice AU example can be found for less than $15,000 and an MS62 to MS63 is available for less than $30,000.

Let's say that you want to add some real "meat" to this set and decide to include a very rare issue. Is this possible? With patience and a large budget, it is. The 1824, 1825, 1826, and 1827 are all very rare coins but they do become available on average of once (or possibly twice) per year. These issues didn't circulate very much so just a few exist in grades below MS60. If a nice AU coin is available, a collector is looking at an expenditure of at least $50,000-60,000+ while a solid MS62 to MS63 will cost in the $80,000-100,000 range.

In 1829, an important change occurred to the design of this type: the diameter was reduced. Design changes that reflect this include smaller date, letter and star sizes. The 1829-1834 subtype could certainly be included in this half eagle set but it is not absolutely necessary. If it is included, this is a challenging hole to fill as all six issues are quite rare due to the wholesale meltings, mentioned above, that occurred in 1834.

5. Classic Head (1834-1838)

The size and weight of the half eagle was reduced in 1834 and this is reflected by an entirely new design by William Kneass. The Classic Head type was struck from 1834 through 1838. This is a popular and numismatically significant type as it includes the first branch mint issues for this denomination. The southern branch mints at Charlotte, Dahlonega, and New Orleans opened in 1838. The 1838-C and 1838-D issues are scarce and extremely popular, but as they are not readily available in higher grades they are not generally included in a half eagle type set.

Most collectors will select a Philadelphia issue. Due to high original mintage figures, Classic Head half eagles tend to be readily available in circulated grades and are not rare in Uncirculated until you reach the MS64 to MS65 range.

In the highest circulated grades, a common date Classic Head half eagle can be purchased for less than $3,000. Even though these coins are reasonably common, it is remarkable that a classic United States gold coin that is over 175 years old is still so affordable. In MS62 to MS63, a nice coin will cost $6,000-12,000 while an MS64, if it is available, will cost around $20,000+.

Here are some suggestions when buying a Classic Head half eagle. First, if you can, try and buy a date other than the 1834. While interesting as the first-year-of-issue, the 1834 is appreciably more common than dates such as the 1835, 1836, and 1838. Yet in spite of this, these scarcer dates sell for a small premium, even in comparatively high grades. Second, look for a coin with deep, rich natural color. This type is available with good eye appeal and a pretty example is clearly going to add more "oomph" to this set than a washed-out, average quality piece. Finally, try and find a well-struck coin. This design is often weak at the centers so avoid coins that show little central detail.

6. Liberty Head, No Motto Reverse (1839-1866)

The Liberty Head design should be familiar to most collectors as it existed, in this basic format, all the way from 1839 until 1907. The coins struck prior to 1866 did not include the motto IN GOD WE TRUST on the reverse.

Known to collectors as No Motto half eagles, these Liberty Head issues were made at the Charlotte, Dahlonega, Carson City, New Orleans and San Francisco branch mints as well as at Philadelphia.

For most collectors, a Philadelphia No Motto half eagle makes the most sense as a type coin. The more common dates from the 1840's and early 1850's tend to be readily available in the lower Uncirculated grades (MS62 and below) and can be obtained for under $5,000. A collector who wants a nice MS64 will have his choice between a few different dates and should expect to pay around $20,000. Gems of this type do exist, but they are expensive and hard to locate.

The half eagles struck in 1839 are actually a distinct one-year type with a different rendition of the portrait as well as the mintmark on the obverse for the Charlotte and Dahlonega issues. The 1839 half eagle is not rare in circulated grades, but it is scarce in Uncirculated and quite rare in MS62 and above. Expect to pay at least $15,000-20,000 for a higher quality Uncirculated example. A nice AU piece can be found for less than $3,000.

7. Liberty Head, With Motto Reverse (1866-1907)

The With Motto Liberty Head is among the more common types in this set. It was produced from 1866 to 1907 in prodigious quantity at the Philadelphia, Carson City, New Orleans, Denver and San Francisco mints.

For type purposes, most collectors will select a common date Philadelphia or San Francisco With Motto half eagle. The lowest grade that should be included in a better-quality set is probably MS63 to MS64 and a really nice coin is going to be readily available for less than $2,000. As a hint, I'd suggest that you look for a date struck prior to 1900, as that adds a "neatness" factor.

This type is actually easy to find in grades up to and including MS66. I'm not certain I'd commit spending a lot more than $10,000 on an example for a type set unless this set involved a "best of everything" mindset.

8. Indian Head (1908-1929)

The final type in the half eagle set is the attractive and popular Indian Head design. These coins were struck from 1908 to 1929.

This is an easy type to locate in any grade up to and including MS65. An MS64 would be the lowest quality coin I'd recommend for type purposes and these have come down in price to the point where you can buy a nice one for less than $5,000. In MS65, prices have dropped as well and what was once a $20,000-ish coin can now be found for around $12,500.

Here are a few hints when looking for an Indian Head half eagle. First, try to find a slightly better date (like a 1909 or a 1911) that used to sell for a premium, but which is now essentially a type coin. Secondly, be patient and wait for a coin with great color and choice, original surfaces. This is an easy coin to locate so you should wait for a coin that really "speaks" to you.

Assembling this eight (or ten) coin set is a real challenge and quite a bit of fun. Depending on your budget, you could include coins grading from Extremely Fine to Gem Uncirculated. Because of the rarity and cost of the 1795, this is never going to be an inexpensive set, but it is one that I think has the potential to be very desirable in the future.

How to Add Value to Your Early Gold Collection

You can make random purchases of early United States gold coins and, if you are lucky, you might acquire some nice pieces as time passes. But if you follow some of these suggestions and formulate a game-plan, my guess is that you will have a better grasp of what is (and what isn't) good value in the area of United States gold produced between 1795 and 1834. As someone who handles a bunch of early gold, I have established some personal parameters that guide nearly all of my purchases. I'd like to share them with you.

When it comes to early gold, most of my purchases revolve around the concept of value. Buy/sell spreads tend to be very tight in many early gold series. As an example, a nice mid to high range half eagle from the early 1800's might be worth $9,500 to buy and $10,000 to sell. I am always looking for the coin of this type that is still OK to buy at $9,500 but which can be sold, fairly, for $10,500 or even $11,000.

On certain very rare early gold issues, the concept of buy/sell spreads and value get thrown out the window and "rarity" becomes the key issue. How do you figure the price of an issue of which 30 exist in all grades and only two have traded at auction in the past five or six years? I'll answer this question and many others in the paragraphs below.

1. Buy Coins From the 18th Century. I know this seems somewhat simplistic but a 1799 eagle, while common, just seems "older" than an 1801 or 1803 (two comparable dates). The fact that it is an 18th century coin just gives it an inherent coolness factor that is lacking on most 19th century issues.

Many of the 18th century gold issues are quite rare and are out of the price range of most collectors. But there are others that are not priced at all that much more than comparable 19the century issues. This list includes the 1798 Large 8 13 Star reverse half eagle, the 1799 half eagle and, of course, the 1799 eagle. An issue that is harder to find in affordable grades but which is not extremely expensive is the 1798 quarter eagle.

2. Cherrypick Tough Varieties. Variety collecting of early gold remains in its infancy and it isn't likely to ever approach the status of Capped Bust half dollars or early Large Cents due to the high price per coin factor.

That said, there are some very rare die varieties that can be found in the half eagle and eagle series; often times for little or no premium. I'd suggest buying a copy of the Bass-Dannreuther book and becoming familiar with the multiple varieties of coins such as 1799 half eagles and eagles or 1806 half eagles.

At this point in time, there are no real premiums for any varieties that are R-5 or lower. Coins that are R-6 are probably worth around a 5-10% premium and this seems like good value for the collector. Coins that are R-7 are currently realizing a 10-20% premium. It is possible that an R-7 early half eagle or eagle could have a 50% premium sometime in the future, although I'd suggest to the collector that he not pay this sort of premium right now.

3. Buy in the Best Value Grades: AU58 and MS62. Depending on your budget and personal preferences, AU58 and MS62 are often the best value grades in early gold.

For common dates and rarities alike, it is hard to go wrong with a lustrous slider AU58. Many early gold coins age handsomely and just a little bit of wear on the high spots seems to add character. The price levels for common date early half eagles and eagles in AU58 also makes sense. These coins often don't sell for large premium over AU53's and AU55's. As an example, the current pricing for common Bust Right half eagle is around $9,500 for an AU53, $10,500 for an AU55, and $11,500 for an AU58. At a 20-25% premium over an AU53, an AU58 just seems like good value to me.

If you prefer Uncirculated coins, I suggest pieces graded MS62. In early gold, many coins in MS60 and MS61 holders are "rubby" and appear worn. MS62 coins are typically truly "new" and have good eye appeal, color and surfaces. The price differential between an MS62 Bust Right half eagle and an MS63 can be substantial; a 1799 eagle in MS62 will run you around $35,000-40,000 while an MS63 should cost $60,000-70,000. In many cases, there won't be $30,000 worth of difference, visually, between a coin in a 62 holder and one graded MS63.

4. Don't "Overbuy" Common Dates: If you are putting together a date run of early gold coins, it is easy to "overbuy" the common issues. I think this is a mistake.

What I mean is buying a coin like an 1806 Round Top 6 half eagle in MS65 as opposed to MS62, MS63 or even MS64. If you can find one, a Gem is going to cost you $125,000+. That doesn't seem like great value to me.

There are exceptions. If you are collecting early gold by type, looking for one really great coin makes sense. At the recent Chicago ANA, I saw no less than three MS64 1799 eagles and they were all exceptional coins. Yes, they were expensive (ranging in price from the mid 100's to the low 200's) but they made sense for the collector looking for one scintillating Capped Bust Right Heraldic Eagle ten dollar gold piece.

5. Buy CAC Coins I tend to like CAC approved early gold better than non-CAC coins. CAC does a good job distinguishing original, nice early gold from average quality, processed pieces and I think the 5-15% premium that these coins sell for is more than worth it for the average collector.

In the recent Stack's Bowers and Heritage sales, there were a lot of early gold coins, and the pieces with CAC stickers (or the ones that I thought would sticker if sent to CAC) generally brought higher prices than their sticker-less counterparts.

Good rule of thumb: unless you are extremely comfortable with your grading skills, stick with CAC approved early gold coins in most instances.

6. Look For Coins That Are Original. It is becoming harder and harder to find early gold coins, in all price ranges, that are original. In spite of this, the premiums for coins with lovely original color are not nearly as great as you might think they are.

Case in point: at the recent ANA show I sold a superb, beautifully toned 1805 half eagle in AU58 to a collector for $11,500. At the same show I wholesaled a totally unoriginal heavily processed 1803/2 for $10,500. The difference in quality between the two coins was astronomical, but at a $1,000 premium, the 1805 just seems like exceptionally good value.

As you view early gold more and more, you'll learn that certain issues are incredibly hard to find with original color and surfaces. As an example, there are hardly any 1796 No Stars quarter eagles left with rich natural color, and an AU50 example that was untouched and original should, in theory, be worth a 25-35+% premium over a typical schlocky AU50 coin.

7. Learn the Undervalued Dates. In all three denominations of early gold, there are dates that are undervalued. The savvy collector can take the time to learn them; or he can continue to the next paragraph and let me do the work for him...

In the quarter eagle series, the dates that I feel are undervalued include the 1798, 1806/4, 1826/5, and 1833.

The early half eagles that I find to be undervalued include the 1798 Small 8, 1799 Large Reverse Stars, 1800, and 1806 Pointed 6.

I don't think that at current levels any of the early eagles are undervalued but a case can be made that the 1797 Small Eagle and 1798 9+4 stars are both good values if you can find examples that are choice, original and priced anywhere near current published levels.

8. Buy Interesting Naked Eye Varieties. There are numerous interesting naked eye varieties in the various early gold series that do not necessarily command a premium but which have enough of a coolness factor that I think they are good value.

One that I can think of right off the back is the 1804 half eagle with a Small 8 punched over a Large 8. This variety sells for no premium over the 1804 Small 8 but if you have seen it in person, you know that it is really interesting.

Another variety that I find very interesting is the 1795 half eagle with the second S in STATES punched over a D. Its not rare but I will almost always buy one if I see it for sale because I like the variety so much.

I think that all early gold that is overdated falls into this category. While some "overdates" like the 1802/1 and 1826/5 quarter eagles have been debunked, others like the 1802/1 and 1803/2 half eagles are very impressive from a visual standpoint and carry no premium over other less interesting dates of this era.

9. Put Together Mini-Sets. If you are going to purchase a few different early gold coins, why not do a small thematic set?

The most obvious set is a three coin denominational group, including a quarter eagle, half eagle and eagle.

Or, you could do a year set. The years in which all three denominations were produced were 1796, 1797, 1798, and 1804.

A "first and last year" set would include quarter eagles dated 1796 and 1834; half eagles dated 1795 and 1834; and eagles dated 1795 and 1804.

Most people collect early gold more traditionally, choosing to either do date sets or type sets.

Collecting early gold is one of the most challenging and entertaining areas in all of American numismatics. It takes a pretty hefty checkbook to do it seriously, but collectors of average means can dabble and buy the occasional coin that is really special. Do you collect early gold? What are your "tricks of the trade?" Let me know what they are and let's begin an early gold discussion in the comment section of this article.

Overall and Comparative Rarity Analysis of Dahlonega Gold Coinage

Using the revised population estimates in the third edition of my book, it is possible to make some interesting observations and conclusions regarding Dahlonega coinage. As an example, it is possible to estimate the average number of survivors for each denomination, the percentage of survivors by grade, and an overall percentage of survival for an entire denomination. 1. GOLD DOLLARS

Estimated Number Extant: 2415-3025 Issues Struck: 13 Average Extant Per Issue: 185.76-232.69 Total Extant by Grade: Very Fine and Below: 227-319 Extremely Fine: 916-1110 About Uncirculated: 1125-1385 Uncirculated: 147-211

% of Total Population: Very Fine and Below: 9.39-10.54 Extremely Fine: 36.69-37.92 About Uncirculated: 45.78-46.58 Uncirculated: 6.08-6.97

Original Mintage Figure, all issues: 73,259-74,209 (NOTE: this is expressed as a range due to the fact that the original mintage figure for the 1861-D dollar is not known)

Estimated Survival Rate: 3.28-4.08

Analysis: The data from the third edition of this book shows that gold dollars from Dahlonega continue to be easier to locate in higher grades than their quarter eagle and half eagle counterparts. The average number of coins known per issue is slightly lower than one might expect. But given the small size of these coins and the conditions by which they circulated, it remains a wonder that as many have survived as are known today.

It is interesting to compare the survival rate of Dahlonega gold dollars to other branch mint coins of this denomination. As a rule, for branch mint coins struck prior to the Civil War, the survival rate is generally in the range of 1 to 2%. For gold dollars this seems to be higher but in the case of the Dahlonega issues, much of this has to do with the high number of 1849-D dollars that have survived. If you remove this date from the equation, the surviving percentage fits nicely within the parameters of the above-referenced survival range(s).

Dahlonega gold dollars are certainly more available in higher grades (About Uncirculated and above) than the quarter eagles, three dollars, and half eagles from this mint. Over 50% of all known Dahlonega gold dollars grade About Uncirculated or Uncirculated and close to 90% grade Extremely Fine or better. This is considerably higher than it is for the other denominations from this mint.

This suggests at least two things: that Dahlonega gold dollars did not circulated as long and as hard as the other denominations, and that relatively large quantities of higher grade Dahlonega gold dollars have become available as the result of hoards and/or accumulations. Another possible explanation for the high survival rate in higher grades might be that the small size of the dollars did not make them as attractive to melters as the larger sized issues were, and this made them somewhat more likely to survive.

The overall population of many dates in the gold dollar series has been underestimated for many years. As an example, in the 1960’s and 1970’s it was often written that fewer than a dozen 1856-D dollars were known. We now know that the actual number might be as great as 100 or so coins. One of the reasons that the rarity of this date was overstated (along with the 1854-D, 1860-D and 1861-D) is that these issues all had tiny original mintages.

The 1856-D is a good example to illustrate this. Only 1,460 were produced. Using the assumption that around 1% of these should have survived one can see how an estimate of a “dozen or so” might have come about.

Dahlonega gold dollars are a good example of the adage that you can’t judge the rarity of a specific issue solely by its original mintage figure.

2. QUARTER EAGLES

Estimated Number Extant: 3,195-3,915 Issues Struck: 20 Average Extant Per Issue: 159.75-195.75 Total Extant By Grade: Very Fine and Below: 716-926 Extremely Fine: 1270-1533 About Uncirculated: 1037-1245 Uncirculated: 104-141

% of Total Population: Very Fine and Below: 22.41-23.65 Extremely Fine: 39.15-39.74 About Uncirculated: 31.80-32.45 Uncirculated: 3.25-3.60

Original Mintage Figure, all Issues: 197,850

Estimated Survival rate: 1.61-1.97

Analysis: Quarter Eagles remain the rarest of the three primary denominations of coins struck at the Dahlonega mint both in terms of overall rarity and rarity in high grades.

When I last did this statistical analysis, I believed that around 70% of all Dahlonega quarter eagles were in lower grades; i.e., Extremely Fine and below. Today, I estimate this number to be like 60%. This shift is due to gradeflation and many coins that were formerly VF became EF (and EF’s became AU’s).

Uncirculated quarter eagles from this mint remain very rare. Less than 3.5% of all known Dahlonega quarter eagles are Uncirculated and this number is more impressive when you consider that five dates (1839-D, 1844-D, 1847-D, 1848-D and 1857-D) constitute around 75% of the known Dahlonega quarter eagles in Uncirculated. The rarity of high grade Dahlonega quarter eagles has remained remarkably consistent since the last edition of this book was written in 2003.

In the last edition of this book, I suggested that the estimated survival rate for this denomination was between 1.18 and 1.37%. I believe that this was a bit too low and now the range is from 1.61 to 1.97%. As time passes, it is likely that the survival rate will become slightly higher than 2% of the original mintage figure for this denomination.

20 Interesting, Undervalued U.S. Gold Coins You Can Buy for Less Than $5,000

In a recent blog, I mentioned the fact that the entry level to become a buyer of interesting United States gold coins was a much lower barrier than many new collectors realize. I mentioned some general issues and types that could be found in the $1,000-2,500 range that I felt were interesting and good values. I'd like to expand this idea and discuss 20 specific rare coins that can be purchased for $5,000 or less. 1. 1865 Gold Dollar. Unlike the low mintage gold dollars from the 1880's, this Civil War issue was actually used in commerce. Only 3,700 business strikes were produced and just a few hundred examples are known today. I wouldn't exactly call this issue "rare" but it is certainly not one that you are going to be able to go to a national-caliber coin show and find more than one or two; if that.

For a collector with a $5,000 per coin budget, you can buy a really nice 1865 gold dollar. As an example, Heritage 1/11: 6672, graded MS61 by NGC, brought a reasonable $3,450. I sold a solid PCGS AU58 last year as an "E-Special" to raregoldcoins.com preferred clients for $1,500.

2. 1872 Gold Dollar. The 1872 is another low mintage issue but it doesn't receive the attention that the 1865 does since it isn't a Civil War issue. Only 3,500 were struck and I doubt if more than 200 or so are known; most in the AU53 to MS61 range.

This date remains very affordable in the lower Uncirculated grades as witnessed by the recent sale of an NGC MS62 for $1,265 in the Heritage June 2011 auction. Interestingly, only one example better than MS64 has sold at auction since January 2009 (an MS67) yet a nice quality MS64 should be available, with some searching, for around $3,000.

3. 1839 Quarter Eagle. This date has been a favorite of mine for years. It is by far the rarest Philadelphia Classic Head quarter eagle. Interestingly, it has fewer appearances at auction over the last two decades than the celebrated 1838-C and 1839-D and it might actually be a rarer issue than these two first-year branch mint emissions.

Despite the scarcity of the 1839, it remains a good value for the collector with a $5,000 and lower budget. An AU50 is currently worth Around $2,500-3,000 while an AU55 goes for $3,500-4,000 and an AU58 should sell for $4,500-5,000. Be aware of the fact that this is an extremely hard date to find with natural color and surfaces and a choice, high piece is worth as much as a 50% premium over a typical example.

4. 1845-O Quarter Eagle. This is another long-time favorite of mine. The 1845-O is by far the scarcest quarter eagle from New Orleans and it has an original mintage of just 4,000. This date has been recognized as a rarity in higher grades and a nice AU coin is going to be out of reach for the collector with a $5,000 budget. But that doesn't mean that a presentable example is out of the question.

I sold a nice NGC VF25 example of this date a few months ago for around $1,500. Heritage 3/11: 4631, graded EF40 by PCGS, sold for $4,025 and as far as I can tell this seems to be a record price for an EF40 that was clearly not going to upgrade; others have sold in this grade for $2,500-3,000 in the last few years. I can see EF's eclipsing the $5,000 mark in the near-future so this is one undervalued date that might not be so undervalued the next time I write an article of this sort!

5. 1867 Quarter Eagle. You'd think that an issue with a total PCGS population of just twenty-nine in all grades (that's the exact same number, by the way, as the 1856-D quarter eagle; an issue that's worth more than 10x an 1867 in AU) would be better recognized as a scarcity. Yet the 1867 continues to languish and it remains an affordable issue.

Trends for the 1867 quarter eagle is $1,900 in AU55 and $3,000 in AU58 and, when available, examples tend to sell for a discount in relation to these numbers. If just a few people started to collect Liberty Head quarter eagles by date (or if one or two people began to haord 1867 quarter eagles) I could see the price of this issue doubling nearly overnight.

6. 1883 Quarter Eagle. The date run of quarter eagles produced between 1877 and 1895 contains many low mintage issues and a number of these are affordable, scarce and undervalued. I probably could have chosen four or five of them for this article but decided to focus on the 1883, an issue that I like very much.

Just 1,920 business strikes were made and my best estimate is that around 100-125 are known today. I have never personally seen an 1883 quarter eagle that graded higher than MS62 and only one or two at that level. The last Uncirculated piece to sell was an NGC MS61 that brought $4,313 in the Heritage 3/11 auction. Despite this coin obvious rarity, you can still buy a nice AU in the $2,000-3,000 range and MS61 examples have sold in the $3,500-4,500 during the last few years.

7. 1867 Three Dollars. In circulated grades, the 1867 doesn't sell for all that much of a premium over some reasonably common dates of this design. I have found the 1867 to be a challenging coin to locate and it appears for sale less often than such heralded issues as the 1864, 1870, 1871 and 1872. There were 2,600 struck and most are seen in the AU grades.

For $3,000 to $4,000 you can purchase an attractive AU5 to AU58 1867 Three Dollar gold piece. I would personally look for a really choice AU58 with original color and choice surfaces. These pieces do exist although they are hard to find.

8. 1884 Three Dollar. I've been a big fan of the low mintage Three Dollar gold pieces from the 1880's for years. The 1884 is not the rarest issue of this group (that honor belongs to the 1881) but it is very underrated, especially in higher grades.

There were exactly 1,000 business strikes produced. Unlike many of the low mintage Threes of this era, the 1884 is nearly impossible to find in grades above MS63. In Uncirculated, this date is going to be out of the price range for the sub-$5,000 coin buyer but I have sold at least two or three nice AU58's for less than $4,250 in the last two years.

9. 1842 Large Letters and Small Letters Half Eagle(s). There are a number of No Motto half eagles that are great values for less than $5,000 and both varieties of half eagle dated 1842 rank close to the top. The Large Letters is the scarcer of the two but both are extremely hard to locate.

Every year at auction, I only see maybe one or two decent 1842 half eagles yet EF coins continue to sell in the $2,000-2,500 range while AU's bring around $4,000-5,000 depending on quality. I very rarely see examples that are choice and original and I personally think a high end coin, even in VF grades is worth a significant premium.

10. 1842-O Half Eagle. I could have put at least three (if not four) New Orleans half eagles in this article. Despite a big boost in popularity in the last few years, nice EF No Motto examples of the scarcer date New Orleans half eagles remain within reach of most collectors.

The 1842-O is the second rarest half eagle from this mint. Probably no more than 50-75 are known from a mintage of 16,400. I just sold a very presentable VF example for around $1,500. Last summer, a pair of PCGS EF45's sold at auction for $3,738 and $3,881 respectively. I think a really nice EF45 coin can still be bought for less than $5,000 and I think it's one of the single best values in this group of twenty: a rare coin, a coin that's in demand and an issue that becomes extremely pricey as the grade scale is increased.

11. Undervalued Dahlonega Half Eagles. Even though this series is avidly collected by date, there are at least three Dahlonega half eagles that I can think of that carry virtually no premium in VF and EF grades yet are two or three times rarer than the "common" dates of this type. The ones that come to mind are the 1846-D Normal Mintmark, the 1848-D and the 1851-D.

The most recent Coin World Trends values the common date 1853-D and 1854-D at $3,000 in EF45. In the same grade, the 1846-D Normal Mintmark is valued at $2,750, the 1848-D at $2,750 as well and the 1851-D at $3,000. At common date valuations, these three issues are extremely good buys for the collector. A little hint: the 1848-D half eagle is really rare in EF with a sharp strike and natural color. At a price anywhere near its current Trends value, it is a really exceptional deal.

12. 1850 Half Eagle. This is the rarest half eagle struck at the Philadelphia mint between 1843 and 1862 (with the possible exception of the 1859 which is another really undervalued issue). Yet the last two I've sold in AU58 (both were nice coins, by the way) fetched around $1,500 each.

The 1850 half eagle is actually a scarcer coin in AU grades than its Charlotte and Dahlonega counterparts; at around a quarter of the price. Yes, I know the C+D mint issues are around four times more popular but the 1850 half eagle still seems like a great value.

13. San Francisco Half Eagles, 1858-1867. If you like truly rare coins and have $2,500-$5,000 to spend on each purchase, this subgroup would make for a very interesting date run. You can't buy the 1864-S in any grade without spending at least $10,000+ but the other nine dates will be within your budget as long as you focus on VF and EF grades.

Most of these issues have surviving populations of less than 100 coins and nearly all become very rare and very expensive in AU50 and higher. Yet they remain affordable in VF and EF grades. They certainly aren't plentiful; as an example, PCGS has only graded twenty-five examples of the 1862-S in EF and lower grades. Factoring in resubmissions and ugly coins, this probably equates to no more than fifteen or so pieces. Rare, yes, but not so much so that you can't find one without some patience. And at $3,000-4,000 for a nice VF+ example, a hard coin not to like!

14. Slider No Motto Liberty Head Eagles. If I were collecting gold coins and had a $2,500-5,000 per coin budget I'd give very serious thought to assembling a date run of No Motto Philadelphia eagles from the 1840's and the 1850's.

With the exception of a few dates (the 1844-1846 and 1858), most of these issues can be found in AU58 in this price range. The more common dates can be found for less than $1,500. Given the fact that a very common With Motto issue has a "basal value" of around $750-850 in slider grades, the fact that you can buy a coin like, say, an 1852 $10 in AU58 for around $1,500 seems like great value to me.

15. 1862-1877 Liberty Head eagles. As long as you are patient and willing to buy coins in the VF-EF range, there are some great values in the eagles series. Almost every date struck between 1862 and 1877 at the Philadelphia and San Francisco mints was melted in abundance and this fact, coupled with low original mintages in many cases means rare dates. In most cases, we're talking about 75-100 known.

It would be fun to collect coins like this in conjunction with similarly dated half eagles. In the eagle series, your $2,500 per coin expenditure isn't going to go very far so it might be wise to budget closer to $5,000 per coin. At this level there are plenty of interesting coins.

16. "Better Date" Liberty Eagles, 1880-1907. One of the consequences of the current weakness in the generic gold market is the near-total evaporation of the Market Premium Factor for certain semi-scarce to scarce eagles produced in the 1880's, 1890's and early 1900's.

Let me give you an example. Currently, a generic MS62 Liberty eagle is worth around $850. For $900-$1,100 you can buy coins like an 1882-S or an 1889-S in this grade that are many times scarcer than a common date. Will the market premium factor that these issues once had ever return? I think they will, to a degree. But in the mean time, it's kind of fun to buy conditionally scarce coins for little or no premium.

17. 1889 Eagle. I couldn't mention the late dates of this denomination without specifically discussing the rare 1889. You can make the case that a number of the issues from the 1880's and 1890's are scarce solely based on grade but not the 1889; this is a genuinely scarce coin in all grades with an original mintage of just 4,440.

An About Uncirculated 1889 eagle has a current market value of around $2,000. In Uncirculated, you should expect to spend around $4,000 or more for an MS60. It should be noted that this date almost never comes with good eye appeal so, in this case, a clean(ish) AU55 might actually make more sense than an abraded MS60 to MS61.

18. 1854 through 1858 Philadelphia Double Eagles. No, I don't own rolls of these and am not constantly self-promoting them. But as a dealer who sells alot of Type One double eagles, I'm always looking out for the 1854 Large Date, 1855, 1856, 1857 and 1858 in nice AU53 to AU58.

My experience has shown me that these coins are very popular, very liquid and still within the budget constraints of most collectors. I find that many San Francisco Type One double eagles are not well struck and have appearance issues. These five Philadelphia issues tend to be better struck and have better eye appeal than their San Francisco counterparts.

19. 1869, 1870 and 1871 Double Eagles. These three Type Two Philadelphia double eagles remain affordable in EF and AU grades yet they are scarce and desirable issues.

Of the three, I personally like the 1871 the most but all are hard to find in the higher AU grades. You are looking at around $3,000 for a low-end AU and a bit more than $5,000 for a coin at the upper end of this range. I'd suggest being patient and waiting for examples that are clean for the grade, choice and as original as possible.

20. Big Spread S Mint Type Three Double Eagles. The early date San Francisco Type Three issues (specifically those produced between 1877 and 1882) are true condition rarities. Most of these issues are expensive in MS62 and above but affordable in MS61. I like the value of these coins in MS61.

Here's an example. In MS62, an 1879-S is worth in the $11,000-13,000 range. The same date in MS61 is worth around $4,000 to 5,000. In some cases, a high end MS61 is as attractive as a lower end MS62. As Type Threes become more popular with date collectors (and I think they will), it seems like many people will gravitate towards the 1879-S in nice MS61.

There are dozens of other undervalued United States gold coins that could have made this list. I'd be curious to hear from you with your comments about omissions as well as about those included on this list.

The State of the Liberty Head Double Eagle Market: 2011

The level of popularity for the Liberty Head double eagle series, struck between 1850 and 1907, shows no signs of abating. In fact, I think these are the most avidly collected United States gold coins by date. How has the market fared for $20 Libs. in the last three to five years and what does the future portend? Let's take a look at the State of the Market for Liberty Head double eagles. 1. The Impact of Bullion Prices on $20 Libs

At the end of May 2006, the price of gold stood at around $660 per ounce. Five years later, gold hovered near $1,530 and it had reached a high of over $1,600 earlier in the Spring. Obviously, this huge increase has had an impact on the market for twenty dollar gold pieces.

In May 2006, a generic Liberty Head double eagle in MS63 would have cost a collector around $900. Today, the same coin costs around $1800-1900. The first thing that is noticeable from this is that the value of a generic double eagle relative to its gold content has dropped appreciably. In fact, the spread between the spot price and the numismatic value is as low, in May 2011, as I can recall.

While generic prices have dropped, the demand for scarce and rare collector-oriented Liberty Head double eagles has increased considerably. Let's take a look at two examples.

In May 2006, an AU55 example of the popular 1850 double eagle would have cost a collector somewhere in the area of $3,000-3,500. Today, the same coin typically sells for $5,500-6,000. This is interesting as this is one of the few areas in the numismatic market where a rare coin (the 1850) has actually performed as well as the generic issue since 2006.

Let's also look at a common date Carson City issue. In May 2006, an AU58 example of an 1875-CC was likely to sell in the $2,500-2,750 range. Today, the same coin will bring $4,000-4,500. From an investment standpoint, the $20 Liberty Head market has performed well in the past five years. But this is not a blanket statement and certain areas have done better than others. We will explore these later in this article.

2. What's Popular in this Market in 2011?

As someone who buys and sells hundreds of Liberty Head double eagles each month, I have a good feel for what's popular and what's not. In my observation, I can see a strong level of demand in certain areas. These include nearly all Type One issues in the $2,000-5,000 range, most affordable Carson City double eagles, very scarce and rare dates in all three types, shipwreck coins (more on these later), and coins with exceptional eye appeal. If I had to name some of the specific dates that seem to be in particularly strong demand right now, I'd include the following: 1854-S, 1856, 1859, 1862, 1863, 1868, and 1880.

Areas in the market that seem weak include generics, grade rarities (an example of this would be a coin like an 1888-S in MS64 which is a fairly common date in grades up to and including MS63 but a "rare" and expensive one in grades above this), rarities that showed huge price increases in the middle of the last decade, and coins that have poor overall eye appeal.

3. The Market For Rare Date Liberty Head Double Eagles

The top end of the Liberty Head double eagle market showed incredible strength during the 2000's. Let's look at a few examples.

The 1866-S No Motto was an issue that was considered esoteric 10-15 years ago and I can remember literally begging clients of mine to buy nice EF and AU examples as they seemed incredibly undervalued to me at the time. This issue caught fire and prices soared. In the early part of the 2000's, an AU50 1866-S No Motto double eagle could be purchased for $8,000-10,000. By 2007-2008, the same date in this grade would have realized $40,000+ at auction; and probably would have been far less attractive, for the grade, as the example(s) available in 2000. Today, this same coin is worth in the low to mid-30's.

Possibly the most dramatic price swings in the $20 Lib. series have been for the major rarities like the 1854-O, 1856-O, 1861-S Paquet, and the 1870-CC. These coins became very expensive by the 2006-2008 boom years and, quite frankly, they became priced out of range of all but the wealthiest collectors and investors. These four issues have seen drops of 20-30% since their market highs, but I am noticing that they are starting to percolate once again and prices are raising. I think that buyers of these very rare issues are far more particular than they were five years ago and if a coin that is priced at $250,000 and up doesn't have good eye appeal it will prove to be a hard sell.

4. The Strength of the Market in Cool "One of a Kinds"

While the classic rarities in the Liberty Head double eagle series have taken a bit of a hit lately, the upper end of the market is far from weak. In fact, the market for really cool, really nice condition rarities is exceptionally strong and deep. Usually, coins of this sort wind-up at auction. I can think of a number of these; for the sake of brevity let's look at two.

In the recent Heritage Central States sale (April 2011) there was a gorgeous PCGS MS63 CAC 1869 double eagle. The coin had great color and surfaces and was fresh, choice and high end. Its a population four coin with two graded higher at PCGS and it was the second best I'd ever seen. Trends at the time was $28,500 and I expected this coin to bring in the low to mid-30's. It sold for $45,885. A great coin, yes, but a really robust price especially considering that Type Two double eagles are somewhat out-of-favor with collectors right now.

Another interesting "one of a kind" coin was the NGC MS65 1852-O that was sold as lot 5243 in the Heritage 2011 FUN sale in January. While I wasn't absolutely crazy about this coin from a quality standpoint (I graded it MS64 but didn't think it was a Gem) there was no denying it was a special coin for an O mint double eagle. And the fact that it remains the only New Orleans double eagle of any date meant that it was destined to bring a strong price. It sold for $276,000; not "crazy" money but still a heckuva lot for a common date New Orleans double eagle!

What's interesting to note right now is that any double eagle that is either finest known or well up in the Condition Census is destined to sell for a record price while some of the more classic rarities in the Liberty Head series might still be a bit soft.

5. Shipwreck Coins

No denomination of United States gold coinage has been more affected by shipwrecks/hoards than double eagles. The S.S. Brother Jonathan, S.S. Central America, and S.S. Republic hoards have added thousands of interesting Type One double eagles into the market.

For many years the supply of these coins far outstripped the demand. You couldn't wander through a coin show without tripping over a stack of 1857-S double eagles. (OK, a slight exaggeration but...)

As double eagles became more popular, the appeal of the shipwreck coins grew. There are now a number of retailers who actively sell these and the trend appears to be strongest for dates that have low "shipwreck populations."

Here's an example. Let's say you have an 1851 double eagle in AU58 from the S.S. Republic shipwreck. This coin could bring as much as $5,000 if it were put in an auction. The exact same coin without a shipwreck pedigree might bring $3,000 if it were extremely high end; $2,750 or so if it were just "average."

The shipwreck double eagles that seem to be in the greatest demand are the ones that appear infrequently. In other words, if you have a double eagle from the S.S. Central America that isn't a commonly seen issue (i.e., its not an 1857-S) then it is considered "scarce" by shipwreck collectors.

The entire shipwreck double eagle phenomenon is sort of a mixed blessing to me. I like the fact that these coins attract new collectors and I respect their history and pedigree. But I think many are cosmetically unappealing and I have a hard time justifying the premium that some of these coins are getting. Is a $3,000 double eagle worth $5,000 (or more) because its from a shipwreck? To me, no. But to a number of collectors the answer is clearly yes.

6. Tracking the Market by The 1856-O Specimen

Many collectors feel that the single most desirable Liberty Head double eagle is the unique Specimen-63 example of the 1856-O. The coin first surfaced in the late 1970's/early 1980's and it has bounced around quite a bit more than you'd think.

In Heritage 2002 FUN sale, the coin sold for $345,000. The owner held it for two years and then placed it in the Heritage June 2004 sale where it brought $542,800. It was purchased by an investor who, as I recall, had never purchased another Liberty Head double eagle before and he held it for five years, placing it in the Heritage May 2009 sale where it brought a record-smashing $1,437,500.

In just seven years, the price of this special coin has increased by nearly 5x. Given the fact that there are now numerous United States coins that have brought over $1 million at auction or via private treaty, I am not surprised at the value level of the 1856-O. I would have to think that if it appeared for sale again in the near future it would bring over $2 million.

7. Tracking the Middle Market

This article has been more focused on the upper end of the market than the lower and middle end and this is not representative of the $20 Lib market as there are a lot more transactions in the $2,500-5,000 range than in the rarefied air of six figure coins.

I make a strong two way market in Type One and Carson City double eagles in the $2,000-10,000 range and I find this area of the market to be quite strong. I have a few interesting observations to share.

I find the grading of these coins to generally be more consistent than on smaller denomination coins. That said, I still find inconsistencies. I love lustrous, unmarked "sliders" graded AU58, but see coins in 58 holders that range from terrific to terrible. In my experience, really nice AU58 coins with great eye appeal are now bringing at least 10-15% more than average quality coins and I think that this spread will increase in the future.

In the Type One series, there are certain dates that I literally couldn't keep in stock even if I had multiple examples. Collectors love the Civil War dates and the underrated Philadelphia issues from 1854 through 1859 have become very popular as well.

Carson City issues are collected both by date and as type coins. I find that the key issues like the 1878-CC, 1879-CC, 1885-CC, and 1891-CC are very popular in circulated grades and in Uncirculated as well. The more common dates (priced in the $2,500-5,000 range) are extremely easy for me to sell as long as they are attractive, lustrous coins with fewer-than-average bagmarks. Coins with CAC stickers are especially in demand amongst type collectors or collectors who, while not working on date sets, want to buy groups of four, five, or six different pieces to salt away.

8. In Conclusion: What does the Future Hold?

I think the future for collector-quality Liberty Head double eagles is as bright as for any other type of United States gold coin.

As gold continues to go up in value, more investors become aware of gold coins. For various reasons, more wind-up buying double eagles than any other type of numismatic "product" and due to good marketing, more of these will be steered toward Libs than towards Saints.

The beauty of the 20 Lib series is that, marketing aside, the coins themselves are very interesting. They were issued at a tumultuous time in US history and at significant mints such as Carson City, New Orleans, and San Francisco. And they come in a tremendous array of prices; you can buy $2,000 coins or you can buy $200,000 coins.

I think the more affordable $20 Libs have a really bright future; coins in the $2,000-5,000 range that are interesting, reasonably scarce and which contain nearly an ounce of gold are just about irresistible to collectors. The super high end coins will continue to shine as well; coins priced at $50,000 and up that are very rare or that represent the highest available quality for a specific issue.

The real question is what about the middle market? I could sell as many 1859-O double eagles as I could find in choice VF and EF grades and I'm sure I could sell the first, second, and third finest known(s) of this date. But what about the so-so quality AU50 and AU53 coins? How will those fare in the future? Check back in 2014 when I update this article and we'll see!